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Where Taxpayers and Advisers Meet

Tax on NFT crypto raffle prize

Taffytimps
Posts:3
Joined:Sat Aug 28, 2021 9:41 am
Tax on NFT crypto raffle prize

Postby Taffytimps » Sat Aug 28, 2021 9:49 am

Hi I purchased a raffle ticket NFT token with ethereum on a monthly prize raffle. I won. And the prize has a value of 130,000 gbp. When is sell it and get paid in ethereum and then draw down GBP into bank via coin base. Will I have to pay capital gains tax or any other earnings tax.

Thanks.

pawncob
Posts:5090
Joined:Wed Aug 06, 2008 4:06 pm
Location:West Sussex

Re: Tax on NFT crypto raffle prize

Postby pawncob » Sun Aug 29, 2021 8:19 pm

Not if it's a lottery prize.
With a pinch of salt take what I say, but don't exceed your RDA

AGoodman
Posts:1738
Joined:Fri May 16, 2014 3:47 pm

Re: Tax on NFT crypto raffle prize

Postby AGoodman » Thu Sep 02, 2021 1:41 pm

q to Pawncob and others - does it have to be a lottery which is legal in the UK? (I genuinely have no idea but doubt the organisers have a licence from the Gambling Commission).

robbob
Posts:3228
Joined:Wed Aug 06, 2008 4:01 pm

Re: Tax on NFT crypto raffle prize

Postby robbob » Fri Sep 03, 2021 9:53 am

Congrats Taffytimps

I would be surprised if this was taxable but am remaining undecided without having done any decent research , if its not a legal lottery i would probably gueess its akin to gambling? which is also tax free. Happy days these Non Fungible Tokens - perhaps we should get the top 10 taxation web threads and turn them into limited edition NFT's and auction them off to the highest bidder ? - we need some IT guru to do the hard work here -thougg - i am happy to split proceeds 50/50 for having the idea :)

etf
Posts:1278
Joined:Mon Nov 02, 2009 5:25 pm

Re: Tax on NFT crypto raffle prize

Postby etf » Fri Sep 03, 2021 10:40 am

Happy to rubber stamp your 50% if the creators of the top 10 threads receive 10%.

Currently 28 minutes on hold for a call attempt to HMRC for something they said they would call me back about yesterday. Tax district tell me post is done in strict date order, but whilst they have processed my June offering they still have my April letter to deal with. Not sure I believe a word I am told. Do they do this to manipulate their statistics which they will probably deny me access to if I try a FOI request.


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